CFPB Calculates 2015 Changes to HOEPA, QM Loan Thresholds

The Consumer Financial ProtectionrnBureau (CFPB) has increased threshold amounts for loans governed by various triggerrnlimits under Qualified Mortgages (QM) and Ability-to-Repay (ATR) Rules.   Under Regulation Z of the Truth in LendingrnAct CFPB is required to look at loan amounts subject to point and fee limits,rnadjusting them if necessary, on an annual basis.  The following changes will go into effect onrnJanuary 1, 2015.</p<ul class="unIndentedList"<liThe limit for loans where points andrnfees may not exceed 3 percent of the total loan amount will increase fromrn$100,000 to $101,953.</li<liFor a loan amount greater than orrnequal to $61,172 but less than $101,953 points and fees may not exceedrn$3,059. Under current rules points andrnfees may not exceed $3,000 for loan amounts between $60,000 and $100,000.</li<liThe threshold for fees not to exceedrn5 percent of the total loan amount will increase to greater than or equal torn$20,391 but less than $61,172 from $20,000 and $60,000 respectively.</li<liFor a loan amount greater than orrnequal to $12,744 (currently $12,500) but less than $20,391 (currently $20,000),rnpoints and fees may not exceed $1,020, an increase from $1,000.</li</ul<ul type="disc"